The National Petroleum Authority (NPA) has announced a new Price floor for the second pricing window, from 16th-31st February 2025.
The authority has set GH₵12.56 for petrol and GH₵13.45 for diesel.
The development means that no oil marketing company should be selling below the price quotes.
The NPA in the notice to the Oil Marketing Companies (OMCs) and Liquefied Petroleum Gas (LPG) marketers advised all the players to comply with the above price floors for the window.
It added that the price floors exclude the premiums charged by International Oil Trading Companies (IOTCs) and the operating margins of BIDECs, as well as the Marketers’ and Dealers’ Margins of OMCs/LPGMCs.
These will be independently determined by the companies as pertains under the Price Deregulation Policy.
According to the NPA, the initiative aligns with the Petroleum Pricing Guidelines, designed to promote transparency and sustainability in the fuel market.
However, the announced price floors exclude premiums charged by International Oil Trading Companies (IOTCs) and the operating margins of Bulk Import, Distribution, and Export Companies (BIDECs).
Additionally, marketing and dealer margins for OMCs and LPGMCs remain subject to independent determination under the country’s price deregulation framework.
Despite these exclusions, the introduction of a price floor is expected to curb unhealthy competition and undercutting practices among industry players.
By enforcing a minimum price, the NPA seeks to create a more predictable and balanced pricing structure, which will ultimately benefit consumers and ensure fair business practices within the sector.
The new directive reinforces the government’s commitment to maintaining a stable petroleum market while allowing room for fair competition.
With deregulation still in place, companies retain the flexibility to set their prices above the stipulated floor, ensuring profitability while safeguarding the interests of consumers and stakeholders alike.